Interesting Sector Strength Configuration:

While, during the corrective phase since the ides of June, Defensives were dominating, now we see an unusual pickup by two sectors that are not typically correlated: Technology and Energy. While it seems that the Strait of Hormuz is closed, voices are becoming louder, stating that it will not open again throughout 2026…

The biggest enigma in this context is the Oil price itself: After a sharp rise starting before the most recent escalation (insider trading once again?), it has now resumed its downtrend. And this in the context of historically low Crude Inventories combined with a sharply rising demand outlook

Who or what is driving oil prices down? However, Energy stocks are on the rise again and exhibit statistically good buying patterns

Yesterday’s massive Darkpool inflows in Technology, combined with an extreme amount of bullish patterns in Tech stocks, signal optimism ahead of the upcoming Earnings Season, with Software currently leading over Semiconductors.

Technology - Intra Sector Strength